Demand for apartments in new buildings in Sevastopol decreased by 7% over the month
Analysts at Avito Real Estate studied how the indicators of the new buildings market changed at the end of October 2023. Over the month, interest in purchasing apartments on the primary market in Russia decreased by 12% on average. A drop was noted for all housing formats: demand for two-room apartments decreased by 13%, in the three-room apartment category — minus 12%, interest in one-room apartments fell by 11%, in studios — by 9%. Supply decreased by an average of only 1%, while prices increased (+2%) both in absolute terms and in terms of square meters.
The current decrease in demand is not a drop in itself, but a correction to normal values for the market. If we look at the dynamics in the summer months, then in August versus July there was an increase in demand by 25%, and in July versus June — by 17%. In anticipation of an increase in the key rate of the Central Bank of the Russian Federation, people were in a hurry to conclude deals on favorable mortgage terms. Now this demand has largely been realized, and there is some lull in the market. We saw something similar at the beginning of the year after the rush of the last months of 2022. Let me remind you that at that time people sought to quickly purchase housing using a family mortgage, since the status of the program for the next year was not clear,” commented the head of primary real estate at Avito Real Estate, Dmitry Alekseev, on the state of affairs.
Over the month, demand for apartments in new buildings decreased in 30 out of 33 cities included in the Avito Real Estate study. In Kirov, interest decreased by a quarter, in Saratov — by 23%, in Barnaul — by 22%, in Nizhny Novgorod and Simferopol — by 20%. Growth is observed only in Krasnoyarsk (+5%), Tomsk (+3%) and Kaliningrad (+1%).
Despite the decline in demand, prices increased in most cities in the study. The most noticeable increase is in Barnaul. Here, the cost of apartments in new buildings jumped by 12% compared to September 2023. Housing on the primary market became more affordable in Samara (-7% per month), St. Petersburg (-2%), in Omsk and Novosibirsk prices did not change. Based on the results of October, the most expensive new buildings are in Moscow (15.5 million rubles), Sochi (12.4 million rubles) and Nizhny Novgorod (9 million rubles). The cheapest new housing is in Saratov (4.2 million rubles), Izhevsk (4.3 million rubles) and Ulyanovsk (4.4 million rubles).